If there are two non-callable $1,000 bonds that pay semi-annual interest, one with a 30-year maturity and the other with a 15-year maturity and both with a coupon rate of 9%, what will happen to their values if market interest rate drops to 8%?

Group of answer choices

d) The value of the 30-year bond will be $53.33 lower than the 15-year bond

e) Their values will be the same because their coupon rates are the same

b) The value of the 30-year bond will be $26.66 lower than the 15-year bond

c) The value of the 15-year bond will be $53.33 lower than the 30-year bond

a) The value of the 15-year bond will be $26.66 lower than the 30-year bond